Micron Technology and Sandisk Corporation are seeing significant gains from a major memory chip shortage, with prices escalating by up to 300% since January 2026. Micron’s revenue surged to $41.5 billion in its last quarter, up from $9.3 billion year-over-year, and is forecasted to reach around $50 billion in the upcoming quarter.
According to TrendForce, DRAM prices increased by approximately 90-95% in Q1 2026 and are projected to rise by an additional 13-18% in Q3. NAND flash prices have also tripled over the same period. Demand from AI technologies, which require high-bandwidth memory, and supply constraints from major manufacturers are driving this drastic increase in prices, with industry experts predicting a supply growth of merely 16% for DRAM and 17% for NAND in 2026, significantly below AI demand levels.
The memory sector outlook remains bullish, with Micron experiencing a gross margin of about 85%, while Sandisk’s fourth-quarter revenue jumped 51%, partly driven by higher pricing. Both companies are locking in multi-year contracts with customers, suggesting ongoing demand well into 2027 and beyond.
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